ยง88-84ย  Ordinary death benefit.ย  (a)ย 
Upon receipt by the system of proper proof of a member's death occurring in
service or while on authorized leave without pay, there shall be paid to the
member's designated beneficiary an ordinary death benefit consisting of:



(1)ย  The member's accumulated contributions and, if no
pension is payable under section 88-85, an amount equal to fifty per cent of
the compensation earned by the member during the year immediately preceding the
member's death if the member had at least one year but not more than ten full
years of credited service, which amount shall increase by five per cent for
each full year of service in excess of ten years, to a maximum of one hundred
per cent of the compensation; provided that if the member had at least one year
of credited service, the amount, together with the member's accumulated
contributions shall not be less than one hundred per cent of the compensation;



(2)ย  If the member had ten or more years of credited
service at the time of death in service, and the death occurred after June 30,
1988, the member's designated beneficiary may elect to receive in lieu of any
other payment provided in this section, the allowance that would have been
payable as if the member had retired on the first day of a month following the
member's death, except for the month of December when retirement on the first
or last day of the month shall be allowed.ย  Benefits payable under this
paragraph shall be calculated under option 3 of section 88-83 and computed on the
basis of section 88-74, unreduced for age; or



(3)ย  If the member was eligible for service retirement
at the time of death in service, the member's designated beneficiary may elect
to receive in lieu of any other payment provided in this section, the allowance
that would have been payable as if the member had retired on the first day of a
month following the member's death, except for the month of December when
retirement on the first or last day of the month shall be allowed.ย  Benefits
payable under this paragraph shall be calculated under option 2 of section
88-83 and computed on the basis of section 88-74.



(b)ย  If the member's designation of beneficiary
is void as specified in section 88-93, or if the member did not designate a
beneficiary, there shall be payable:



(1)ย  To the surviving spouse or reciprocal
beneficiary, a benefit as specified under subsection (a)(1), (2), or (3);



(2)ย  To the deceased member's children under age
eighteen, if there is no surviving spouse or reciprocal beneficiary, an equally
divided benefit as specified under subsection (a)(1); or



(3)ย  To the deceased member's estate, if there is no
surviving spouse or reciprocal beneficiary and no children under the age of
eighteen, a benefit as specified under subsection (a)(1).



(c)ย  For the purposes of this section, a year
round school employee shall be considered in service during the July and August
preceding a transfer to a traditional school schedule if the employee was in
service for the entire prior school year and has a contract for the upcoming
traditional school year.



(d)ย  The application for ordinary death
benefits shall be filed no later than three years from the date of the member's
death. [L 1925, c 55, ยง6(8); RL 1935, pt of ยง7925; RL 1945, ยง708, subs 8; am L
1949, c 200, ยง1; am L 1951, c 127, ยง1; RL 1955, ยง6-51; am L 1963, c 127, ยง12;
am L 1967, c 247, ยง1; HRS ยง88-77; am L 1969, c 110, pt of ยง1; gen ch 1985; am L
1987, c 299, ยง2; am L 1988, c 41, ยง3 and c 242, ยง1; am L 1993, c 67, ยง1; am L
1994, c 108, ยง3; am L 1997, c 212, ยง4 and c 383, ยง28; am L 2002, 128, ยง8; am L
2006, c 169, ยง14; am L 2007, c 215, ยง14]



 



Attorney General Opinions



 



ย  Because of operation
of renunciation of succession pursuant to Uniform Probate Code, beneficiary,
deceased parent, was deemed to have predeceased member; thus, only remaining
beneficiary was remaining parent, and employeesโ€™ retirement system may pay
member's benefits to sole remaining beneficiary.ย  Att. Gen. Op. 97-3.